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John Li has worked as manager of a video store for six years.Since the 7-Eleven next door began renting movies for 97 cents per night,Li's business has fallen off drastically.Accordingly,the owner of the video store told Li that,because the business had fallen on such hard times,he would take over managing and Li would have to assume the counter duties.The present counter clerk would be laid off.The owner also told Li that his wages would be reduced by 15%.When Li came to work the next day,he told the owner that he wouldn't accept the job working at the counter.The owner became angry and said,"If you don't like it,then you can leave! I don't have to put up with your insubordination for one minute!" Li left and then sued the owner for unlawful dismissal.The owner argued that he had "just cause": economic slowdown and disobedience.Based on the above facts,identify the true statement.
Fraudulent Misrepresentation
A false statement made knowingly or recklessly with the intent to deceive and induce another to part with something of value or to surrender a legal right.
Deceit
A tort that arises when a party suffers damage by acting upon a false representation made by a party with the intention of deceiving the other.
Valid Contract
An agreement between two parties that is recognized by law and is enforceable by the legal system.
Undue Influence
A state of affairs whereby a person is so influenced by another that the person’s judgment is not his or her own.
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